Aussie coal export volumes show positive growth signs in March - Jefferies

Aurizon Holdings

17/04/2023 22:13

** Jefferies expects volume recovery to continue through
remaining months of FY23 for Australia's Aurizon Holdings
 AZJ.AX   
    ** Brokerage says coal export volumes for March are up in 
Queensland and HunterValley compared with prior corresponding
period, providing a strong finish to the soft quarter impacted
by wet weather and a derailment
    ** Brokerage keeps fair value for Aurizon at A$4.70 per
share, retains "buy" rating 
    ** Strong return of exports to China does improve outlook -
Jefferies 
    ** Brokerage expects coal volumes to continue to recover
through the 4Q23 as customer demand is expected to remain strong
 
    ** Jefferies sees growth opportunities being highlighted at
upcoming Aurizon investor day as well as some update on the cash
flow resilience even under rapid decarbonisation scenario     
    ** Five of 14 analysts rate the stock "buy" or higher, five
"hold" and four "sell"; median PT is A$3.7 – Refinitiv data
    ** Stock has fallen 9.1% this year, as of last close
    
    

 (Reporting by Nausheen Thusoo in Bengaluru)
 ((Nausheen.Thusoo@thomsonreuters.com;))